When renting through PropertyLoop, some tenants may be asked to provide a guarantor during referencing. This usually happens if you don’t meet the standard affordability requirements, or if your circumstances mean the referencing provider can’t confirm a steady income.
What Is a Guarantor?
A guarantor is someone (often a parent, relative, or close friend) who agrees to legally take responsibility for the rent if the tenant is unable to pay.
By signing the guarantor agreement, they become jointly liable for:
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Unpaid rent
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Any damage or costs the tenant is responsible for under the tenancy agreement
This provides reassurance to the landlord that rent will be covered even if the tenant cannot pay.
When Would You Need a Guarantor?
You may be asked to provide a guarantor if:
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Your income doesn’t meet the affordability requirement (2.5x the monthly rent before tax)
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You are a student without a regular salary
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You are self-employed or a contractor with limited accounts or inconsistent earnings
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You have a limited credit history in the UK
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You’re moving to the UK from overseas
Why Must a Guarantor Be UK-Based?
Guarantors must be UK-based because:
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They need to be subject to UK law and courts (so the guarantee is enforceable)
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They can be referenced quickly and reliably
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They should have a stable financial footprint within the UK (e.g. a UK address, credit history, and income)
Guarantor Affordability
Just like tenants, guarantors must also meet affordability checks. Their gross annual income should usually be at least 3x the annual rent to ensure they could realistically cover the payments if required.
What Will the Guarantor Be Referenced On?
The referencing company will carry out similar checks to those done on tenants, including:
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Identity check (proof of ID and proof of address)
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Employment & income verification (to confirm they can cover the rent if needed)
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Credit check (to ensure no major issues like CCJs or bankruptcy)
If the guarantor is self-employed:
They may need to provide:
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Their most recent SA302 tax return from HMRC, or
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Accounts signed off by a qualified accountant, usually covering 1–2 years, and
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Business bank statements showing regular income (if requested).
If the guarantor is retired or has savings:
They may need to provide:
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Evidence of pension income (such as a pension statement or payslip), and/or
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Bank or investment statements showing sufficient savings to cover the rent if required.
Documents a Guarantor May Need to Provide
To complete referencing, a guarantor will typically need to supply:
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Photo ID (passport or driving licence)
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Proof of address (utility bill, council tax bill, or bank statement dated within the last 3 months)
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Income documents, depending on their circumstances:
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Payslips and employment reference (if employed)
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SA302s/accounts (if self-employed)
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Pension statements/savings proof (if retired or relying on savings)
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👉 If you think you’ll need a guarantor, it’s best to let them know early and make sure they’re prepared with these documents. This will help speed up the referencing process and avoid delays to your tenancy.